Gold, Silver Futures Ease; Yellow Metal Still Near Record Highs

Current Gold Price In India: MCX gold futures were stuck in a range of Rs 48,162-48,223/10 grams
Current Gold Price In India: MCX gold futures were stuck in a range of Rs 48,162-48,223/10 grams

Gold Rate In India: Domestic gold and silver futures were stuck in a narrow range in morning deals on Thursday, a day after the yellow metal registered an all-time high of Rs 48,982 per 10 grams tracking global rates. MCX gold futures due for delivery on August 5 moved between Rs 48,162 and Rs 48,223 per 10 grams, compared to their previous close of Rs 48,267. Silver futures on the bourse were also rangebound, between Rs 49,254 and Rs 49,352 per kilogram, compared to their previous close of Rs 49,424 per kilogram. At 10:20 am, gold futures quoted 0.16 per cent lower at Rs 48,192 per 10 grams, and silver futures were down 0.19 per cent at Rs 49,332 per KG. (Track Gold Rate In India Here)

According to the India Bullion and Jewellers Association (IBJA), a Mumbai-based industry body, the opening rate of gold jewellery stood at Rs 48,490 per 10 grams, and silver at Rs 48,843 per kilogram - both excluding Goods and Services Tax (GST).

Gold jewellery prices vary in different parts of India - the second largest consumer of the precious metal - due to factors such as excise duty, state taxes and making charges. 

In the international market, gold prices edged lower on Thursday, easing from a near eight-year peak hit in the last session, as solid U.S. manufacturing data and promising results from a COVID-19 vaccine trial revived hopes for a quick economic recovery, denting demand for safe havens.

Spot gold was last seen trading 0.1 per cent lower at $1,767.79 per ounce, having touched its highest level recorded since October 2012 on Wednesday.

Domestic stock markets rose nearly 1 per cent amid gains across sectors, tracking gains in Asian equities as investors clung on to hopes of a vaccine for COVID-19. The Sensex index climbed as much as 1.10 per cent - or 390.52 points - to touch 35,804.97, and the broader Nifty benchmark strengthened to touch the 10,545.30 mark compared to its previous close of 10,430.05.

In March, commodity exchanges cut down trading hours, in a shift from the practice of allowing trading till midnight, in the wake of coronavirus pandemic. The trading now begins at 9 am and ends at 5 pm, instead of 11:50 pm earlier.

Gold Price: What Analysts Say On Current Gold Rate

"Gold was consolidating in a narrow range for last few sessions but got a thrust to break past the key $1800/oz level benefitting from month end and quarter end position squaring and increasing concerns about coronavirus cases and heightened US-China tensions," said Ravindra Rao, VP-head commodity research at Kotak Securities.

"Gold has breached the $1800/oz level paving way for more gains however the up move has come without any fresh new triggers hence one needs to be cautious and wait for a lower level to create fresh long positions," he added.